• Advertise
  • Submit a Press Release
NewsBTC
Bitcoin & cryptocurrency news
Crypto.com Logo
  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Play GamesTry
  • Bet & WinTry
No Result
View All Result
  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Play GamesTry
  • Bet & WinTry
No Result
View All Result
NewsBTC
No Result
View All Result
Nexo Logo

VanEck: Bitcoin Price Historically Increased Following Halving

Thomas Delahunty by Thomas Delahunty
2 years ago
in Bitcoin
Reading Time: 2 mins read
Advertisement

May’s halving will reduce the amount of Bitcoin rewarded to miners, and in turn, increase the coin’s scarcity.

Considering this scarcity – think supply and demand – as well as historical data of the previous two halvings, Bitcoin’s price may see a remarkable bump in the months following the event.

Halving Historically Leads to Massive Gains

The so-called “halving,” a 50% block reward cut to production rate, is a mechanism programmed into the Bitcoin blockchain that occurs roughly every four years (or 210,000 blocks).

5 BTC + 300 Free Spins for new players & 15 BTC + 35.000 Free Spins every month, only at mBitcasino. Play Now!

As reported by investment firm and Bitcoin supporter VanEck, historically, given the increased scarcity, the price of Bitcoin has shot-up following halving over the course of the coin’s lifecycle.

Bitcoin, halving
Bitcoin Growth With Halving

At the time of the first halving, November 28, 2012, Bitcoin’s price was $12.22; by the end of November 2013, the leading cryptocurrency had shot up to $1,242.

At the second halving, July 9, 2016, Bitcoin’s price was $652.14; just 16 months later, on Dec 17, 2017, the coin hit an all-time-high of almost $20,000.

BitStarz Player Lands $2,459,124 Record Win! Could you be next big winner?
Get 110 USDT Futures Bonus for FREE!

Looking at this historical data alone, the upcoming halving could be a momentous occasion for Bitcoin enthusiasts and the cryptosphere as a whole.

As NewsBTC reported, cryptocurrency-focused research company, Digital Asset Research created a prediction model setting Bitcoin at over $60,000 following May’s halving.

German bank Bayern LB went further, predicting a price of $90,000 after May 2020.

Public interest in the digital asset is growing too.

Google measures search interest over time based on a score out of 100. As January comes to a close, the score sits at 97. This is double December 2019’s score of 48.

There was only one other time that the search volume for “Bitcoin halving” was higher than today, at the time of the second halving in the summer of 2016.

Bitcoin Enhances Portfolio Return

As illustrated, this increase in scarcity – and in turn value of the coin brought on by halving – is one of the drivers for historical Bitcoin growth.

Considering this, VanEck highlights in their report how the coin can increase portfolio diversification because of its low correlation to traditional asset classes, including broad market equity indices, bonds, and gold.

According to their research, a small allocation to Bitcoin significantly enhanced the cumulative return of a 60% equity and 40% bonds portfolio allocation mix while only minimally impacting its volatility.

The graph below illustrates this with allocations of 0.5% BTC, 1% BTC, and 3% BTC:

Bitcoin
Portfolio With Bitcoin

Last year, the price of the leading cryptocurrency gained about 90%, outshining all other major asset classes.

With an ever-growing community of enthusiasts, an influx of institutional investors, and anticipation surround the upcoming halving, 2020 is set to be a big year.

Featured Image from Shutterstock
Tags: bitcoinbullishhalvinginvestmentVanEck
Tweet123Share283ShareSend
Win up to $1,000,000 in One Spin at CryptoSlots
Thomas Delahunty

Thomas Delahunty

I’m Thomas J. Delahunty, born in Lancashire, England, but raised and currently residing in Columbus, Ohio where I attended The Ohio State University studying English and History. After writing in the Fintech and Forex spaces, I began to focus on blockchain and cryptocurrencies — Bitcoin in particular — in 2016. Aside from being part of NewsBTC’s journalism team, I am a writer and analyst for Ohio State’s Risk Institute at the Fisher College of Business, and run operations for two local, independent online businesses.

Related Posts

bitcoin

Outflows Rock Bitcoin As Institutional Investors Pull The Plug, More Downside Coming?

53 mins ago
Bitcoin

First In History: Bitcoin Mayer Multiple Records Lower Value Than Last Cycle’s Low

23 hours ago
crypto

Crypto Liquidations Settle As Bitcoin Recovers Above $21,000

1 day ago
Bitcoin

Why Pain May Not Be Over For Bitcoin Holders Just Yet

2 days ago
Bitcoin

Bitcoin Regains Some Luster With 15% Rally To $21,700 – Can It Maintain The Shine?

2 days ago
Bitcoin

Bitcoin Coinbase Premium Gap Approaches Zero, Selloff Ending?

3 days ago

Premium Partners

Top Brokers

PrimeXBT

PrimeXBT

Review · Visit

Top Casinos

BitStarz

BitStarz

Review · Visit
7BitCasino

7BitCasino

Review · Visit
BC.Game

BC.Game

Review · Visit
Punt Casino

Punt Casino

Review · Visit
mBit

mBit

Review · Visit
CryptoGames

CryptoGames

Review · Visit
Bspin

Bspin

Review · Visit

Sportsbooks

1xBit

1xBit

Review · Visit
BC.Game

BC.Game

Review · Visit

When Marketplaces Meet Predictions: The Curious Case Of Fair Prediction Launches

June 28, 2022

Globiance Goes Live on CoinMarketCap And 6 Exchanges (CEX)

June 28, 2022

Why is Klein Finance so important to KCC (KuCoin Community Chain)?

June 28, 2022

LBank Exchange Will List SENSO on June 28, 2022

June 28, 2022

LBank Exchange Will List LOOT on June 29, 2022

June 28, 2022

ABOUT US

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

COMPANY

  • Advertising
  • Comments Policy
  • Privacy Center
  • Sitemap
  • About Us
  • Contact

Technical Analysis

  • Bitcoin (BTC)
  • Ethereum (ETH)
  • Ripple (XRP)
  • Chainlink (LINK)
  • Cardano (ADA)
  • Tezos (XTZ)

LINKS

Crypto Prices from Nomics

Cryptocurrency news

  • Bitcoin
  • Ethereum
  • Ripple
  • Chainlink
  • Cardano
  • EOS
  • Tezos

© 2021 NewsBTC. All Rights Reserved.

  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Play Games
  • Bet & Win

© 2021 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.